7
Healthcare Challenges in the US
250,000 deaths per year due to medical error
Comprises 18% of GDP . . . and increasing
US quality ranks low when compared to other developed
countries
$3.06 trillion spent in 2014*; growing at rate of 5.8 percent**
“Waste” = $765 Billion (30% of total):
– $210B – unnecessary services
– $190B – excessive administrative costs
– $130B inefficiently delivered services
– $105B prices too high
– $75B fraud
– $55B – missed prevention opportunities
Over 54 Million Enrolled in Medicare^; 78 Million by 2030 (last
year of baby boomer eligibility)
Sources: *Office of the Actuary at the Centers for Medicare and Medicaid Services; **National Health Expenditure Projections, CMS; ^Kaiser Family Foundation;
^^Facts on Medicare Spending, Kaiser Family Foundation; ^^^2013 Actuarial Report, Department of Health and Human Services